Express
Federal Reserve Study Warns: Economic Outlook Uncertain, Zero Interest Rate Risk May Reappear
Summary: According to a report from FXStreet, a recent study jointly released by the New York Fed and San Francisco Fed warned that despite current short-term borrowing costs being relatively high, there is still a possibility that the Federal Reserve's short-term interest rate target could once again approach zero in the coming years. The report, co-authored ...
According to a report from FXStreet, a recent study jointly released by the New York Fed and San Francisco Fed warned that despite current short-term borrowing costs being relatively high, there is still a possibility that the Federal Reserve's short-term interest rate target could once again approach zero in the coming years. The report, co-authored by New York Fed President Williams, indicates that the medium to long-term risk of the Fed's interest rate target returning to ultra-low levels is currently at the lower end of the observed range over the past fifteen years. However, researchers added that due to increasing uncertainty in the near term, the possibility of returning to near-zero interest rates in the medium to long term remains significant.
Tags:
Link: Federal Reserve Study Warns: Economic Outlook Uncertain, Zero Interest Rate Risk May Reappear [Copy]
